9 firms want to join bidding for AFP patrol aircraft

MANILA, Philippines - Nine firms are interested in joining a bidding for the supply of two long-range patrol aircraft to be used to enhance the monitoring of the country’s territory.

A document obtained by The STAR showed that the nine prospective bidders are EADS/CASA Airbus Defense and Space, Elta Systems Ltd., Elbit Systems Ltd., Field Aviation, Saab Asia Pacific Co. Ltd., PT Dirgantara Indonesia (Persero) Indonesian Aerospace, Lockheed Martin, Raytheon Co., and Mission Integration.

The companies have bought bid documents for the long-range patrol aircraft project, which aims to strengthen the military’s territorial defense and surveillance capabilities.

The government has allotted P5.98 billion for the project, making it one of the big items in the Armed Forces modernization shopping list.

Defense officials said the interest of aircraft manufacturers in the project reflects their trust in the procurement system.

“It is a manifestation of the growing confidence of foreign suppliers to the procurement process that we are adopting,” Defense Undersecretary Fernando Manalo told The STAR.

Manalo noted that it would be advantageous to the government if many companies submit bids for the project.

It remains unsure though whether all nine companies will join the bidding to be held within the month.

There have been instances in the past where prospective suppliers that bought bid documents did not submit offers.

The two long-range patrol aircraft to be acquired will include sensors, sensors integration, mission support facilities and integrated logistics support package.

The project will enable the military to secure the Philippines’ exclusive economic zone and to assist in disaster response operations.

The project will be funded by the Revised Armed Forces Modernization Program signed by President Aquino in 2012. The defense department will hold a two-stage competitive bidding for the project because of the detailed nature of the air assets.

The first stage will screen the bidders to determine who among them are qualified to submit offers. The second stage will evaluate the actual offers submitted by the companies that pre-qualified.

Only air assets being used by the supplier’s country of origin or by militaries of at least two countries will qualify for the bidding. A bidder should have completed within the last 10 years from the date of submission of bids a contract similar to the project.

The winning bidder is required to deliver the air assets within 1,035 calendar days from the receipt of notice to proceed from the government. The notice to proceed is a document that will pave way to the implementation of the contract.

The Philippines has been boosting its territorial defense capabilities amid the ongoing territorial dispute in the West Philippine Sea.

Officials, however, said the military’s upgrade efforts have nothing to do with the maritime row, which is caused by overlapping territorial claims by China, Malaysia, Vietnam, Brunei, Taiwan and the Philippines.